Assigned to NREW                                                                                                                           AS VETOED

 


 

 

 


ARIZONA STATE SENATE

Fifty-Sixth Legislature, Second Regular Session

 

VETOED

FACT SHEET FOR h.b. 2062

 

assured water supply; certificate; model

Purpose

An emergency measure that requires the Arizona Department of Water Resources (ADWR) to review the merits of a certificate of assured water supply (certificate) and issue a new written determination of action within 15 days if outlined conditions apply and using outlined models as criteria.

Background

A person who proposes to offer subdivided lands for sale or lease in an active management area (AMA) must apply for and obtain a certificate of assured water supply from the Director of ADWR before presenting the plat for approval to the city, town, or county in which the land is located and before filing with the State Real Estate Commissioner a notice of intention to offer such lands for sale or lease, unless the subdivider has obtained a written commitment of water service for the subdivision from a city, town or private water company designated as having an assured water supply. A city, town or county may only approve a subdivision plat if the subdivider has obtained a certificate from the Director of ADWR or the subdivider has obtained a written commitment of water supply from a city, town or private water company designated as having an assured water supply. The Director of ADWR must notify the mayors of all cities and towns in AMAs and the chairman of a county board of supervisors in which an AMA is located of the cities, towns and private water companies designated as having an assured water supply and any modification of that designation within 30 days of the designation or modification (A.R.S. § 45-576).

An applicant for a certificate must submit an application on a form prescribed by the Director of ADWR with a fee prescribed by the Arizona Administrative Code and provide:
1) outlined proof of ownership for each applicant to be listed on the certificate; 2) a plat of the subdivision; 3) an estimate of the 100-year water demand for the subdivision; 4) if the subdivision is enrolled as a member land in the Central Arizona Groundwater Replenishment District and the applicant proposes to install gray water reuse systems in the subdivision, sufficient information from the Director of ADWR to determine the appropriate reduction in demand; 5) a list of all proposed sources of water that will be used by the subdivision; 6) evidence that outlined criteria are met; and 7) any other information that the Director of ADWR reasonably determines necessary to decide whether an assured water supply exists for the subdivision.

The Director of ADWR must issue a certificate if the applicant demonstrates: 1) sufficient supplies of water are physically available to meet the estimated water demand of the subdivision;
2) sufficient supplies of water are continuously available to meet the estimated water demand of the subdivision; 3) sufficient supplies of water are legally available to meet the estimated water demand of the subdivision; 4) the sources of water are of adequate quality; 5) the applicant has the financial capability to construct adequate delivery, storage and treatment works for the subdivision; 6) the proposed use of groundwater withdrawn within an AMA is consistent with the management plan in effect at the time of the application; and 7) the proposed use of groundwater withdrawn within an AMA is consistent with the achievement of the management goal (
A.A.C. R12-15-704).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Requires ADWR, on request of an eligible applicant, to review the merits of an application for a certificate and issue a new written determination of action within 15 days if:

a)   the application is for a certificate in the Phoenix AMA;

b)   the application was submitted on or after January 26, 2021, and on or before May 31, 2023; and

c)   the applicant has not received a certificate, or the application has been denied as of the legislation's effective date.

2.   Requires ADWR to review the determination to grant a certificate using either the 2006-2009 Salt River Valley Regional Model or the 2006 Lower Hassayampa Sub-Basin Groundwater Flow Model and any financial information submitted by the applicant.

3.   Requires ADWR, within five days after the effective date, to notify all eligible applicants of the ability to have determinations of assured water supply reviewed.

4.   Repeals the modified application requirements on December 31, 2024.

5.   Becomes effective on signature of the Governor, if the emergency clause is enacted.

Governor's Veto Message

The Governor indicates in her veto message that H.B. 2062 threatens to erode the water protections Arizonans rely upon, and does not measure up to the real groundwater challenges we face. H.B. 2062 would weaken and circumvent the Assured Water Supply regulations that provide consumer protection and promote sustainable water management.

House Action                                                              Senate Action

NREW            1/30/24      DPA       5-4-0-0               NREW         3/14/24      DP    4-2-1

3rd Read          2/28/24                     31-28-0-0-1        3rd Read       6/12-24               16-11-3

Vetoed by the Governor 6/19/24

Prepared by Senate Research

June 20, 2024

RA/SDR/slp